This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Tech ETF for Earnings Season

Stocks in this article: KBE FDN GOOG EBAY NFLX AA

NEW YORK ( TheStreet) - Earnings season has gotten into full swing following Alcoa's (AA - Get Report) report on Monday.

In the coming weeks, companies across the market spectrum will follow Alcoa's lead and share how they have fared over the past quarter. Performance numbers for the most recent quarter will prove intriguing for investors looking to gain insight into the state of the economic recovery. Equally important will be the companies' respective outlooks and guidance for the remainder of the year.

ETF investors will want to keep a close watch on the earnings calendar. As the season presses on, a large number of major index components will step up to the plate.

For instance, when JPMorgan (JPM) and Bank of America (BAC) release their reports on during the second half of the week, investors holding the SPDR KBW Bank ETF (KBE) will want to pay close attention. These two firms are top holdings of KBW, and on top of directing the fund's performances over the next week, they will likely provide clues as to how other major financial institutions fared during the opening months of 2011.

Google (GOOG) is another hotly anticipated household name that is on tap to report its quarterly earnings this week.

On top of monitoring the performance of search, Android, and the company's various other branches and divisions, investors will likely have a close eye on how founder Larry Page is adjusting to his new role as the company's CEO. In the short time since taking over the reins from Eric Schmidt, Page has already generated plenty of attention from the media. Most recently, he made headlines when he announced a dramatic shake-up to the company's management structure.

It will be interesting to see what else Page has in store.

The company's performance and outlook for the rest of the year will heavily influence the popular First Trust Dow Jones Internet Index Fund (FDN). Google accounts for close to 10% of the fund's total portfolio, making the search giant FDN's largest position.

Following Google, earnings numbers from other top index constituents such as eBay (EBAY - Get Report) and Netflix (NFLX - Get Report) will make FDN an exciting fund to watch in the near term. However, this fund boasts qualities that make it attractive as a long-term bet as well.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,164.95 -251.90 -1.45%
S&P 500 1,994.99 -26.26 -1.30%
NASDAQ 4,635.24 -48.1670 -1.03%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs